1. Market Research
  2. > ICT
  3. > Data Center Market Trends
Data Center Construction Market in Africa - Industry Outlook and Forecast 2020-2025

Data Center Construction Market in Africa - Industry Outlook and Forecast 2020-2025

  • August 2020
  • 246 pages
  • ID: 5915161
  • Format: PDF
  • Arizton
Up to $1000 off Until Aug 20th 2020

Summary

Table of Contents

Search Inside

In-depth Analysis and Data-driven Insights on the Impact of COVID-19 Included in this Africa Data Center Construction Market Report

The Africa data center construction market by revenue is expected to grow at a CAGR of close to 12% during the period 2019–2025.

The Africa data center construction market is witnessing significant growth, especially in South Africa, Morocco, Kenya, and Nigeria. The growing internet population has been a strong factor for growth. Government agencies across countries are looking to improve their digital economy. They are involved in a variety of smart city projects that fuel the growth of data centers and edge facilities throughout the region. African countries such as South Africa, Kenya, and Morocco have started taking initiatives for smart cities and plan to improve network coverage. Smart cities are urban development projects that integrate information technology and the Internet of things (IoT) using analytics and sensors to manage cities better. Data centers will be the major beneficiaries of smart cities and will require lots of connectivity, data storage, and computing power for analytics. Due to an increase in the use of connected devices by businesses and consumers, the concept of edge computing is gaining traction in the Africa data center construction market. This has led to the rising demand for high-bandwidth internet in many rural areas, thereby driving the need for the facilities.

The spread of COVID-19 has affected major countries that have data center operations in Africa. Few facilities are affected due to the slowdown in construction works owing to lockdowns and supply chain-related challenges. In Africa, the projects that are expected to open between Q1 2020 and Q4 2020 will be partially affected through supply chain-related challenges compared with construction halts.

Africa Data Center Construction Market Segmentation
The Africa data center construction market research report includes a detailed segmentation by electrical infrastructure, mechanical infrastructure, general construction, tier standards, and geography. The UPS and generator markets will continue to grow due to the increasing construction of large and mega data center facilities and inaccurate power grid connectivity. The power market is expected to witness significant growth due to the non-reliability of power grids in Africa. The increased need for data center solutions in the country is expected to fuel the demand for transfer switches and switchgear during the forecast period. UPS systems are experiencing a high adoption across the African continent as several countries are incorporated diverse energy sources to run the power infrastructure. The facilities are developed to support at rack density of up to 15 kW, with their average PUE being around 1.5. Service operators in Africa deploying modular data centers are likely to procure lithium-ion UPS systems with power capacities of less than 100 kVA. Also, the adoption of single-rack prefabricated data center solutions will include single-phase lithium-ion systems with a power capacity of less than 10 kVA. The generators market is expected to grow because of the continuous construction of large and mega facilities in Africa. Data centers built in populated areas are concerned with carbon emission, which is likely to increase the adoption of efficient generator systems.

Africa is currently moving to the adoption of free-cooling chillers or evaporative coolers. The market for cooling systems in the country is likely to depend on the construction of mega and hyperscale facilities, primarily of 10 MW capacity. While several smaller facilities in Africa use DX-based CRAC units, medium and large data centers are installing CRAH units. Also, the implementation of air-cooled CRAC systems with cooling units that use refrigerants or glycol-based cooling is expected to grow during the forecast period. The facilities mostly adopt air cooling systems and energy-efficient chiller units. The development of hyperscale data centers is likely to adopt 2N CRAC or CRAH units, whereas other facilities are expected to go for N+N systems. The facilities are built with flexible designs, in which additional or high-power capacity units can be incorporated within days or weeks, depending on the customer’s requirement. Chillers are used to facilitate water-based cooling, whereas the adoption of a water-based cooling technique is experiencing strong growth, contributing to a sizable share of the Africa data center construction market.

Most colocation facilities in Africa have installed physical security solutions ranging from perimeter to rack-guarded through CCTV cameras and biometric systems. Companies have also adopted DCIM/BMS solutions that enable remote monitoring of entire data center operations. Most colocation facilities in Egypt are developed with support and funding by enterprise and government agencies. The market also lacks a skilled workforce for data center construction and operations, where the definite investments in greenfield projects are low. Hence, most service providers are developing modular facilities. In terms of security, facilities are equipped with physical security, biometric protection, CCTV surveillance, and fire detection alarms. The increasing OPEX will boost the implementation of DCIM solutions, and the rapid growth in colocation data centers will increase the investment in physical security systems in the Africa data center construction market.

In Morocco, data centers are certified as Tier III facilities in terms of design. The facilities in Egypt are mostly Tier III standard certified in terms of design and are developed to support at rack density of up to 15 kW, with their average PUE being around 1.5. In Nigeria, most facilities are certified Tier III facilities by the Uptime Institute in terms of data center design and construction. In terms of redundancy, most Nigerian data centers have both power and cooling infrastructure equipped with minimum N+1 redundant components.

Segmentation by Electrical Infrastructure
•UPS Systems
•Generators
•Transfer Switches & Switchgears
•PDUs
•Other Electrical Infrastructure
Segmentation by Mechanical Infrastructure
•Cooling Systems
oCRAC & CRAH Units
oChiller Units
oCooling Towers & Dry Coolers
oOther Units
•Racks
•Other Mechanical Infrastructure
Segmentation by General Construction
•Building Development
•Installation & Commissioning Services
•Building Designs
•Physical Security
•DCIM
Tier Standard
•Tier I & Tier II
•Tier III
•Tier IV

INSIGHTS BY GEOGRAPHY
South Africa is witnessing major data center development; cities such as Cape Town and Johannesburg are the preferred places for development. The market is witnessing high adoption of cloud-based solutions among enterprises. The country is rapidly emerging as a center for public and private cloud hosting, which is expected to fuel the facility development. Manufacturing, financial services, and healthcare sectors are among the major contributors to data center investment as they are rapidly adopting cloud computing. The market will witness steady growth over the next few years, with internet penetration and adoption of technologies such as big data, IoT, and artificial intelligence fueling the Africa data center construction market growth.

Segmentation by Africa
•South Africa
•Morocco
•Kenya
•Egypt
•Nigeria
•Other Countries

INSIGHTS BY VENDORS
Multiple electrical infrastructure providers operate in the Africa data center construction market. The growing data center construction market is prompting providers to improve the efficiency of solutions that are currently being offered. Many countries in the region suffer from frequent power fluctuations and power outages. This will enable operators to adopt efficient power backup solutions, with UPS systems that offer over 95% efficiency. The market for VRLA UPS systems will continue to dominate the market; however, the share of VRLA UPS systems will start declining by the end of the forecast period as lithium-ion UPS systems become more affordable, thereby improving their adoption among end-users.

Prominent Data Center Support Infrastructure Vendors
•ABB
•Caterpillar
•Cummins
•Eaton
•Shenzhen Envicool Technology
•Legrand
•MTU On Site Energy
•Schneider Electric
•STULZ
•Rittal
•Vertiv

Prominent Construction Contractors
•Atkins
•Aveng Grinaker
•Concor
•Edarat Group
•Etix Everywhere
•Future-tech
•Huawei
•ISG

Prominent Data Center Investors
•Africa Data Centres (Liquid Telecom)
•Amazon Web Services (AWS)
•Icolo.io
•Internet Technologies Angola (ITA)
•Inwi
•MDXI (MainOne)
•N+ONE
•Orange
•Raxio Data Center
•Rayan Data Center
•Teraco Data Environments

KEY QUESTIONS ANSWERED:
1.What is the Africa data center construction market size and growth rate during the forecast period?
2.What are the factors impacting the growth of the Africa data center construction market share?
3.How is the growth of the cooling system segment influencing the growth of the Africa data center construction market?
4.Who are the leading vendors in the Africa data center construction market, and what are their market shares?
5.What is the impact of the COVID-19 pandemic on the Africa data center construction market shares?

Get Industry Insights. Simply.

  • Latest reports & slideshows with insights from top research analysts
  • 150+ Million searchable statistics with tables, figures & datasets
  • More than 25,000 trusted sources
20% Off

($3500)

  • Single User License — provides access to the report by one individual.
  • Department License — allows you to share the report with up to 5 users
  • Site License — allows the report to be shared amongst all employees in a defined country
  • Corporate License — allows for complete access, globally.
Ahmad helps you find the right report:
Testimonials

The research specialist advised us on the best content for our needs and provided a great report and follow-up, thanks very much we shall look at ReportLinker in the future.

Kate Merrick

Global Marketing Manager at
Eurotherm by Schneider Electric

We were impressed with the support that ReportLinker’s research specialists’ team provided. The report we purchased was useful and provided exactly what we want.

Category Manager at
Ikea

ReportLinker gave access to reliable and useful data while avoiding dispersing resources and spending too much time on unnecessary research.

Executive Director at
PwC Advisory

The customer service was fast, responsive, and 100% professional in all my dealings (...) If we have more research needs, I'll certainly prioritize working with ReportLinker!

Scott Griffith

Vice President Marketing at
Maurice Sporting Goods

The research specialist provided prompt, helpful instructions for accessing ReportLinker's product. He also followed up to make sure everything went smoothly and to ensure an easy transition to the next stage of my research

Jessica P Huffman

Research Associate at
American Transportation Research Institute

Excellent customer service. Very responsive and fast.

Director, Corporate Strategy at
Ingredion

I reached out to ReportLinker for a detailed market study on the Air Treatment industry. The quality of the report, the research specialist’s willingness to solve my queries exceeded my expectations. I would definitely recommend ReportLinker for in-depth industry information.

Mariana Mendoza

Global Platform Senior Manager at
Whirlpool Corporation

Thanks! I like what you've provided and will certainly come back if I need to do further research works.

Bee Hin Png

CEO at
LDR Pte Ltd

The research specialist advised us on the best content for our needs and provided a great report and follow-up, thanks very much we shall look at ReportLinker in the future.

Kate Merrick

Global Marketing Manager at
Eurotherm by Schneider Electric

FAQ
  • How we can help
    • I am not sure if the report I am interested in will fulfill my needs. Can you help me?
    • Yes, of course. You can call us at +33(0) 4 37 65 17 03 or drop us an email at researchadvisor@reportlinker.com to let us know more about your requirements.
    • We buy reports often - can ReportLinker get me any benefits?
    • Yes. Set up a call with a Senior Research Advisor to learn more - researchadvisor@reportlinker.com or +33(0) 4 37 65 17 03.
    • I have had negative experiences with market research reports before. How can you avoid this from happening again?
    • We advise all clients to read the TOC and Summary and list your questions so that we can get more insight for you before you make any purchase decision. A research advisor will accompany you so that you can compare samples and reports from different sources, and choose the study that is right for you.

  • Report Delivery
    • How and when I will receive my Report?
    • Most reports are delivered right away in a pdf format, while others are accessed via a secure link and access codes. Do note that sometimes reports are sent within a 12 hour period, depending on the time zones. However, you can contact us to escalate this. Should you need a hard copy, you can check if this option is offered for the particular report, and pay the related fees.
  • Payment conditions
    • What payment methods do you accept?
      1. Credit card : VISA, American Express, Mastercard, or
      2. You can download an invoice to pay by wire transfer, check, or via a Purchase Order from your company, or
      3. You can pay via a Check made out in US Dollars, Euros, or British Pounds for the full amount made payable to ReportLinker
    • What are ReportLinker’s Payment Terms?
    • All payments must normally be submitted within 30 days. However, you can let us know if you need extended time.
    • Are Taxes and duties included?
    • All companies based in France must pay a 20% tax per report. The same applies to all individuals based in the EU. All EU companies must supply their VAT number when purchasing to avoid this charge.
    • I’m not satisfied. Can I be refunded?
    • No. Once your order has been processed and the publisher has received a notification to send you the report, we cannot issue any refund or cancel any order. As these are not ‘traditional’ products that can be returned, reports that are dispatched are considered to be ‘consumed’.
  • User license
    • The license that you should acquire depends on the number of persons that need to access the report. This can range from Single User (only one person will have the right to read or access the report), or Department License (up to 5 persons), to Site License (a group of persons based in the same company location), or Corporate License (the entire company personnel based worldwide). However, as publishers have different terms and conditions, we can look into this for you.

ref:plp2020

Reportlinker.com © Copyright 2020. All rights reserved.

ReportLinker simplifies how Analysts and Decision Makers get industry data for their business.

Make sure you don’t miss any news and follow us on